Title | : | How do governments borrow money to finance their deficits? |
Lasting | : | 5.30 |
Date of publication | : | |
Views | : | 21 rb |
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government loans do not make you rich Gold do Comment from : University of Knowledge |
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How does a government able to spend more money than its revenue as in your example? Comment from : Johny Bravo |
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Do all government works usually just like these? (Not talking about socialist and other that are structured differently)brbrI'm talking like president, vice president type of shit I'm from ph Comment from : nikyabo |
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More shit we don’t learn in school that we definitely should Comment from : THING |
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thanks Johnvery crisp Comment from : Gothan Ram |
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Thank you!! Comment from : Persik II |
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So we’re in debt forever really? Comment from : The19bongo |
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Doesn't explain why the national debt is still growing? How is the government is able to pay back bonds, while still spending in a deficit? Does the government pay these bonds with more debt and it compounds? Comment from : Kyle |
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Thank you John although you haven’t posted any videos in three years people still learn from your previous videos and you have left something good behind Comment from : Ahmad K5 |
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1000 billion is a trillion Comment from : Concerned One |
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This video explains how the countries in the EU workbrThe US is different as it creates its own currencybrIt can’t “borrow” $23 trillion that it hasn’t created firstbrAnd why would it borrow ?brBorrowing happens after it spends to control the fed funds rate Comment from : isawaturtle |
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The US national debt is about $22 trillion for 2019 Americans will never pay off its debt The US is not so great or so powerful after all Comment from : Roy Long |
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This video is a croc !brIt totally ignores who creates the dollars to spend in the first placebrThe US creates the dollars through spending and the taxes are a drainbrBonds are issued to match deficit spending to make it look like it is being funded from treasuries POV but what really happens is the bonds make the deficits add up to the debtbrbrTo buy bonds you actually need govt debt in the form of dollars in the first place to but govt debt in the form of bondsbrbrGovt bonds drain dollars from the banking system, they don’t add thembrbrThe govt always spends first before taxes can be paid of bonds boughtbrThe govt is the supplier of the dollarsbrThat is why it can always spendbrbrThis video is a waste of your time Comment from : isawaturtle |
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The Goverment should only create a budget deficit if we are at war or in a resession but if we do borrow during these times we should at least maintain a decent credit rating times Comment from : Finlay oshea |
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Martin thanks for your question Our government borrows money because there is a difference between what it generates from tax revenue primarily and how much it spends on all of its programs The way it borrows this money is by issuing bills, notes and bonds Loans made to businesses in this country are extended through private banks Our government indirectly supports these private banks by lending money to them in case of a liquidity problem it also supervises and regulates these banks We don't want our government bank or central bank to make loans directly to businesses in this country because we feel that private banks should do this We don't want our central bank to start competing with these private banks It would be unfair to them Comment from : John Bouman |
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